Knorr-bremse Ag · XETR:KBX

Knorr-bremse — Q2 2025 Earnings Presentation

35 slides from Knorr-bremse's earnings presentation, Jul 31, 2025

  1. Slide 1: Q2/25 Financial Results

    Q2/25 FINANCIAL RESULTS MARC LLISTOSELLA I CEO FRANK WEBER I CFO July 31, 2025

  2. Slide 2: Key take-aways today

    Key take-aways today RVS – Mid-term target margin reached ahead of time CVS – Aftermarket resilience and strong measures implemented to support profitability, especially in NA German stimulus / European Defence Budget increases: • RVS: Mid-term benefits and first orders expected in 26/27 • CVS: GDP

  3. Slide 3: Solid demand in rail globally and truck market challenging in NA

    Solid demand in rail globally and truck market challenging in NA Current situation Outlook FY25  Order books at OEMs remain high  Global: Book-to-bill >1 expected​​  EU: Transit business stronger than freight  EU: Overall ongoing stable demand  APAC/CN: Good AM and supportive OE  CN: Good deve

  4. Slide 4: Q2/25: Solid margin expansion driven by RVS

    Q2/25: Solid margin expansion driven by RVS OPERATING REVENUES OF EBIT MARGIN ORDER INTAKE € 2.00bn 13.1% FREE CASHFLOW (-0.7% yoy) € 2.11bn (PY: 12.5%) € 146m (-0.9% yoy) (PY: € 158m) ORDER BOOK € 1.10bn 16.5% € 7.33bn 96% CASH (+7.0% yoy) CONVERSION € 895m 10.3% RATE 4

  5. Slide 5: Strong improvement of NWC and FCF as promised

    Strong improvement of NWC and FCF as promised CapEx NWC Free Cashflow ROCE1 (annualized) [€m] % of sales [€m] Scope of days [€m] [%] 69.8 67.6 3.2% 3.1% 64.2 ex. KB Sign. 158 160 21.3% 65 63 146 20.2% 1,546 1,485 ex. KB Signaling 1,362 64 Q2/24 Q2/25 30.06.24 30.06.25 Q2/24 Q2/25 H1/24 H1/25 Q2/24 Q

  6. Slide 6: RVS: Strong organic order growth and B-t-B >1 for 15 quarters in a row

    RVS: Strong organic order growth and B-t-B >1 for 15 quarters in a row Order intake [€m] Order book [€m] OI higher yoy in all Order book reached new 1.12 Book-to-bill 1.17 regions​ record level +13.8% +12.9% 5,555 100 1,288 ▪ EU: Order intake ▪ Order book increased, 87 mainly from OE 4,881 even w/o

  7. Slide 7: RVS: KB Signaling well on track and EBIT margin up

    RVS: KB Signaling well on track and EBIT margin up Revenue [€m] Op. EBIT [€m]/ Margin Org. revenues up 4% Profitability up ~90bps ​ 16.5% 15.6% +8.6% ▪ EU: Overall stable, ▪ Benefits through 76 lower OE compensated +14.9% BOOST 1,104 by higher AM ▪ Good operating 40 -29 21 182 1,017 ▪ APAC: Stable O

  8. Slide 8: CVS: Order intake strongly impacted by weak NA market

    CVS: Order intake strongly impacted by weak NA market Order intake [€m] Order book [€m] OI developed as Order book weaker 0.99 Book-to-bill 0.92 expected than Q2/24 -10.0% -16.9% 1,969 987  EU: stable yoy  EU lower than Q2/24 despite strong Q2/24 1,772 due to lower order -87 820  APAC: on same le

  9. Slide 9: CVS: Revenue and margin strongly impacted by weak truck markets

    CVS: Revenue and margin strongly impacted by weak truck markets Revenue [€m] 1 Op. EBIT [€m]/ Margin1 Revenue drivers Profitability impacted by 11.2% lower TPRs 10.3% -10.2%  EU: slightly lower 997 revenues, AM flat yoy  EBIT margin up vs. Q1/25  NA: OE significantly (9.5%) -20 -2.0% lower (marke

  10. Slide 10: Operating Guidance FY25 confirmed, revenue outlook adjusted because of FX only

    Operating Guidance FY25 confirmed Revenue outlook adjusted because of FX only Revenue [€m] Op. EBIT Margin Free Cashflow [€m] General Assumptions ▪ Revenue development ▪ Operating development 8,100-8,400 confirmed 7,883 7,800-8,100 12.5-13.5% ▪ FX based on levels as of July 2025 12.3% 700-8003 ▪ Ess

  11. Slide 11: Q&A / Backup

    Q&A / Backup

  12. Slide 12: Financial calendar 2025: Upcoming events and FY25 release dates

    Financial calendar 2025: Upcoming events and FY25 release dates DATE EVENT LOCATION Sep 3 Morgan Stanley CEO Unplugged Conference London Sep 3 Jefferies NYC Industrials Conference New York Sep 4 Commerzbank and ODDO BHF Corporate Conference Frankfurt Sep 8 UBS Quo Vadis Industrials Event Virtual Sep

  13. Slide 13: H1/25: Strong KPIs across the board

    H1/25: Strong KPIs across the board OPERATING REVENUES OF EBIT MARGIN ORDER INTAKE € 3.96bn 12.6% FREE CASHFLOW (-0.8% yoy) € 4.48bn (PY: 12.3%) € 160m (+5.8% yoy) (PY: € 64m) € 2.17bn 16.0% ORDER BOOK (+9.5% yoy) (PY: 15.3%) 55% € 7.33bn CCR (+7.0% yoy) € 1.79bn 9.9% (PY: 20%) (-10.9% yoy) (PY: 11.

  14. Slide 14: Group Q2/25: Order intake and order book

    Group Q2/25: Order intake and order book Order intake [€m] Order book [€m] 1.06 Book-to-bill 1.05 +7.0% 7,326 -0.9% 6,848 2,127 1 48 2,108 +7.5% Org. -68 growth +0.0% RVS 4,881 5,555 RVS 1,141 1,288 CVS 987 820 CVS 1,969 1,772 Q2/24 Organic M&A1 FX Q2/25 30.06.24 30.06.25 14

  15. Slide 15: Group Q2/25: Revenue development

    Group Q2/25: Revenue development Revenue [€m] Revenue [€m] By division By region -0.7% 2,013 1,999 2,013 20 24 1,999 Asia/ -58 523 -0.9% 518 +1.0% Pacific SA 48 -2.7% 47 RVS 1,017 1,104 NA 496 -5.4% 469 CVS 997 EU 946 +2.0% 964 895 Q2/24 Organic M&A1 FX Q2/25 Q2/24 Q2/25 y-o-y 15

  16. Slide 16: Group Q2/25: Profitability and EPS

    Group Q2/25: Profitability and EPS Op. EBIT [€m]/ op. EBIT margin [%] EPS2 [€] 12.5% 13.1% + 60bps Q2/24 Q2/25 Fin. Result EPS impacted by burdened by +4.0%  Restructuring non-cash effects -3.0% costs (severance 24  GT Emission 0.90 payments) 262 Systems fair 0.87 € 28m 252 -4 value effect ~€ 10m

  17. Slide 17: Group Q2/25: Bridge reported EBIT to operating EBIT

    Group Q2/25: Bridge reported EBIT to operating EBIT Op. EBIT [€m]/ op. EBIT margin [%] + 60bps - 40bps 262 6 1 252 238 (13.1%) 227 28 (12.5%) (11.8%) CVS: ~€ 1m (11.4%) RVS: ~€ 6m RVS: ~€ 15m CVS: ~€ 6m 182 158 RVS 158 (16.5%) (15.6%) (15.6%) 160 (14.5%) CVS 98 92 112 (9.8%) 85 (10.3%) (11.2%) (9.5%

  18. Slide 18: Group Q2/25: op. EBIT development

    Group Q2/25: op. EBIT development Op. EBIT [€m]/ op. EBIT margin [%] 13.1% 12.5% + 60bps +4.0% 24 Reported: 262 252 Reported: 238 -4 227 (11.8%) (11.4%) -10 -3.9% RVS 158 182 (15.6%) (16.5%) CVS 112 92 (10.3%) (11.2%) -18 Q2/24 Organic M&A1 FX Q2/25 1) M&A: after PPA 18

  19. Slide 19: Group H1/25: Order intake and order book

    Group H1/25: Order intake and order book Order intake [€m] Order book [€m] 1.06 Book-to-bill 1.13 +7.0% 7,326 +5.8% 6,848 36 +7.5% 261 4,484 Org. 4,239 -51 growth +6.2% RVS 4,881 5,555 RVS 2,202 2,600 CVS 2,038 1,884 CVS 1,969 1,772 H1/24 Organic M&A1 FX H1/25 30.06.24 30.06.25 1) M&A: after PPA 19

  20. Slide 20: Group H1/25: Revenue development

    Group H1/25: Revenue development Revenue [€m] Revenue [€m] By divison By region -0.8% 3,987 3,957 3,987 32 3,957 Asia/ -21 -42 965 +2.6% 990 Pacific -0.5% SA 89 +3.0% 91 RVS 1,981 2,169 NA 976 -1.5% 961 CVS 2,007 EU 1,957 -2.2% 1,913 1,789 H1/24 Organic M&A1 FX H1/25 H1/24 H1/25 1) M&A: after PPA y-

  21. Slide 21: Group H1/25: Profitability and EPS

    Group H1/25: Profitability and EPS Op. EBIT [€m]/ op. EBIT margin [%] EPS2 [€] 12.3% 12.6% + 30bps Q2/24 Q2/25 Fin. Result EPS impacted by burdened by +1.6%  Restructuring non-cash effects -7.8% costs (severance 42 498  GT Emission 1.85 payments) 490 Systems fair 1.70 € 51m -5 value effect ~€ 10m

  22. Slide 22: Group H1/25: Bridge reported EBIT to operating EBIT

    Group H1/25: Bridge reported EBIT to operating EBIT Op. EBIT [€m]/ op. EBIT margin [%] + 30bps - 100bps 498 490 475 13 3 (12.6%) (12.3%) (11.9%) 432 51 (10.9%) RVS: ~€ 12m CVS: ~€ 3m RVS: ~€ 27m RVS 303 CVS: ~€ 18m 304 347 (15.3%) (15.3%) (16.0%) 308 (14.2%) CVS 209 223 (10.4%) 156 176 (11.1%) (8.7%

  23. Slide 23: Group H1/25: op. EBIT development

    Group H1/25: op. EBIT development Op. EBIT [€m]/ op. EBIT margin [%] 12.3% 12.6% + 30bps +1.6% 42 498 Reported: 490 Reported: 475 -5 432 (11.9%) (10.9%) -29 -5.9% RVS 304 347 (15.3%) (16.0%) CVS 223 176 (11.1%) (9.9%) -37 H1/24 Organic M&A1 FX H1/25 1) M&A: after PPA 23

  24. Slide 24: Group H1/25 CapEx, NWC, Free Cashflow, ROCE

    Group H1/25 CapEx [€m] NWC Free Cashflow [€m] ROCE1 annualized [%] % of sales [€m] Scope of days 69.8 67.6 3.4% 64.2 2.9% 160 ex. KB Sign. 21.3% 136 20.2% 1,546 1,485 115 ex. KB Signaling 1,362 64 H1/24 H1/25 30.06.24 30.06.25 H1/24 H1/25 Q2/24 Q2/25 24

  25. Slide 25: RVS H1/25: Order intake and order book

    RVS H1/25: Order intake and order book Order intake [€m] Order book [€m] 1.11 Book-to-bill 1.20 +13.8% +18.0% 5,555 139 2,600 290 4,881 -32 2,202 +13.2% H1/24 Organic M&A1 FX H1/25 30.06.24 30.06.25 1) M&A: after PPA 25

  26. Slide 26: RVS H1/25: Revenue and profitability

    RVS H1/25: Revenue and profitability Revenue [€m] Op. EBIT [€m]/ op. EBIT margin [%] +9.5% 16.0% 132 2,169 15.3% + 70bps 76 -20 1,981 +3.9% +14.4% 33 347 304 15 -3 H1/24 Organic M&A1 FX H1/25 H1/24 Organic M&A1 FX H1/25 1) M&A: after PPA 26

  27. Slide 27: CVS H1/25: Order intake and order book

    CVS H1/25: Order intake and order book Order intake [€m] Order book [€m] 1.02 Book-to-bill 1.05 -10.0% -7.5% 1,969 2,038 1,772 1,884 -31 -103 -19 -1.5% H1/24 Organic M&A FX H1/25 30.06.24 30.06.25 27

  28. Slide 28: CVS H1/25: Revenue and profitability

    CVS H1/25: Revenue and profitability Revenue [€m] Op. EBIT [€m]/ op. EBIT margin [%] -10.9% 11.1% 2,007 - 120bps 9.9% -97 1,789 -4.8% -100 -21 -20.8% 223 9 176 -2 -54 H1/24 Organic M&A FX H1/25 H1/24 Organic M&A FX H1/25 28

  29. Slide 29: Group: Income statement

    Group: Income statement 2024 2025 2024 2025 in € million Q1/24 Q2/24 Q1/25 Q2/25 H1/24 H1/25 Revenues 1,974.2 2,012.9 1,958.1 1,998.6 3,987.1 3,956.7 Change in inventory of unfinished/finished products 52.1 4.3 55.8 -36.9 56.4 18.9 Own work capitalized 32.4 25.9 22.5 22.8 58.4 45.3 Total operating p

  30. Slide 30: Group: Cashflow statement

    Group: Cashflow statement 2024 2025 2024 2025 € million Q1/24 Q2/24 Q1/25 Q2/25 H1/24 H1/25 Cash flow from operating activities -48.3 219.0 66.2 207.9 170.7 274.1 Cash flow from investing activities -8.1 -77.0 -31.8 -67.1 -85.1 -98.9 Cash flow from financing activities -23.9 -311.5 -31.8 -1,028.7 -3

  31. Slide 31: Group: Balance sheet/ assets

    Group: Balance sheet/ assets 2024 2025 in € million 31.03.2024 30.06.2024 31.03.2025 30.06.2025 Assets Intangible assets 778.6 770.2 914.8 884.8 Goodwill 688.5 689.2 873.2 870.4 Property, plant and equipment 1,864.1 1,851.2 1,833.6 1,757.8 Investments accounted for using the equity method 62.5 56.9

  32. Slide 32: Group: Balance sheet/ liabilities

    Group: Balance sheet/ liabilities 2024 2025 in € million 31.03.2024 30.06.2024 31.03.2025 30.06.2025 Equity Subscribed capital 161.2 161.2 161.2 161.2 Capital reserves 13.9 13.9 13.9 13.9 Retained earnings 9.4 309.4 309.4 309.4 Other components of equity -181.4 -165.8 -191.9 -305.0 Group earnings 2,

  33. Slide 33: Net Financial Debt / (Cash) Balance

    Net Financial Debt / (Cash) Balance in € million 30.6. 2025 30.6. 2024 31.12.2024 Cash and cash equivalents -1,309.0 -1,075.7 -2,263.0 Short-term liabilities to banks 83.4 59.1 60.7 Short-term bonds and obligations 43.3 768.1 769.3 Short-term leasing liabilities 68.6 65.8 72.1 Securities 0.0 -99.2 0

  34. Slide 34: Investor relations contact

    Investor relations contact Andreas Sophia Spitzauer Kursawe +49 89 3547 0593 +49 89 3547 0199 +49 175 5281320 +49 151 62330709 Andreas.Spitzauer@knorr-bremse.com Sophia.Kursawe@knorr-bremse.com 34

  35. Slide 35: Disclaimer

    Disclaimer IMPORTANT NOTICE This presentation has been prepared for information and background purposes only. It does not constitute or form part of, and should not be construed as, an offer of, a solicitation of an offer to buy, or an invitation to subscribe for, underwrite or otherwise acquire, an

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